November 2017 Newsletter – 2017 Forms 1094 & 1095 Now Available

Monthly Newsletter

by HofgardBenefits

November 2017

2017 Forms 1094 & 1095 Now Available

The Internal Revenue Service (IRS) has released the final forms and instructions for Forms 1094 and 1095 for calendar year 2017 reporting. Employers are required to report in early 2018 for calendar year 2017.

2017 Forms and Instructions
The following calendar year 2017 reporting forms and instructions are now available:

Information Reporting Deadlines

The deadlines for submitting Forms 1094 and 1095 are as follows:
  • Applicable large employers (ALEs)—generally those with 50 or more full-time employees, including full-time equivalent employees (FTEs)—must file Forms 1094-C and 1095-C with the IRS no later than February 28, 2018 (or April 2, 2018, if filing electronically). ALEs must also furnish a Form 1095-C to all full-time employees by January 31, 2018.
  • Self-insuring employers that are not considered ALEs must file Forms 1094-B and 1095-B with the IRS no later than February 28, 2018 (or April 2, 2018, if filing electronically). A Form 1095-B must also be furnished to “responsible individuals” (who may be the primary insured, employee, former employee, or other related person named on the application) by January 31, 2018.

Visit our Information Reporting section for more on the information reporting requirements.

FSA, QSEHRA & 401(k) Limits Announced

The IRS has announced that the contribution limits for health flexible spending arrangements (health FSAs), qualified small employer health reimbursement arrangements (QSEHRAs), and 401(k) retirement plans will increase in 2018 as follows:

  • Health FSAs: The annual dollar limit on employee contributions to employer-sponsored health FSAs will be $2,650(up from $2,600 for 2017).
  • QSEHRAs: The total amount of payments and reimbursements by the employer will not be permitted to exceed $5,050 per employee (up from $4,950 for 2017) or $10,250 per family (up from $10,000 for 2017).
  • 401(k) Plans: The contribution limit for employees who participate in 401(k) plans will be $18,500 (up from $18,000 for 2017). The catch-up contribution limit for those aged 50 and over will remain unchanged at $6,000.

For more information on these and other new tax benefit limits, please see IRS Revenue Procedure 2017-58 and IRS Notice 2017-64.

To learn more about the tax treatment of various employer-provided benefits, check out our Employee Benefits section.

IRS Releases 2017 Tip Reporting Form

The IRS recently released its 2017 Form 8027Employer’s Annual Information Return of Tip Income and Allocated Tips. This form generally must be filed by employers who operate large food or beverage establishments. A large food or beverage establishment is a food or beverage operation:

  • That is located in the 50 states or in the District of Columbia;
  • Where tipping of food or beverage employees by customers is customary; and
  • Whose employer normally employed more than 10 employees on a typical business day during the preceding calendar year.

Form 8027 (and Form 8027-T, to be used when filing more than one paper Form 8027) must be filed by February 28, 2018. However, if an employer files electronically, the due date is April 2, 2018. Employers required to file 250 or more Forms 8027 must file electronically.

Click here for more information and instructions.

Visit our Employment Taxes section for summaries of various employment taxes and related resources from the IRS.

PCORI Fees Hiked for 2018 Filing Period

The IRS recently announced an increase in the applicable dollar amount used to determine the Patient-Centered Outcomes Research Institute (PCORI) fee for plan years that end on or after October 1, 2017 and before October 1, 2018As a reminder, employers sponsoring certain self-insured plans are responsible for the PCORI fee.

For plan years ending on or after October 1, 2017 and before October 1, 2018, the fee for an employer sponsoring an applicable self-insured planis $2.39, multiplied by the average number of lives covered under the plan. PCORI fees for plan years that end between October 1, 2017 and December 31, 2017 will be due to the IRS in July 2018.

Click here to read the IRS notice announcing the increase. Details on how to determine the average number of lives covered under a plan are included in these regulations.

Be sure to check out our PCORI Fees for Self-Insured Plans section for more information.

Sick Workers Should Stay Home!

We’ve all done it: Even though we know we shouldn’t, we’ve gone to work when sick. However well-intentioned they are, employees who go to the office under the weather are making a huge mistake, exposing co-workers and others to communicable illnesses that can take a major toll on workplace health and productivity. Learn ways to prevent the spread of illness in your workplace this flu season by watching the video below.

Sick Workers Should Stay Home

Visit our Safety & Wellness section for more tips on maintaining a safe and healthy workplace.

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